WEST Devon Borough Council, along with other councils across Devon, will now be able to keep a share of 100 per cent of growth in business rates following a recent Government announcement.

The pilot scheme is one of only 10 successful applications approved from across the UK out of 27 bids.

Plymouth City Council will be the lead authority in the Devon Business Rate Pool Pilot, which has a combined collectable business rate income of more than £400 million.

The extra funding could mean an extra £0.5 million for West Devon for the year 2018-19. The council will be able to retain a 40 per cent share of business rates growth, with Devon County Council receiving a 59 per cent share and one per cent going to the Fire Authority.

Businesses in Devon will not see any changes in their business rates, as this is simply a change in how the funding from business rates is shared between councils and Central Government.

In simple terms, it means more funding for councils to invest in service areas to improve budget sustainability and reduce future years’ budget pressures.

It also increases the resources available for investment in economic regeneration schemes across the region.

Leader of West Devon Borough Council, Cllr Philip Sanders said: “We are absolutely thrilled and delighted that Devon is one of the 10 pilots announced for next year.

“West Devon Borough Council is looking forward to working with our partners in the other councils to encourage increased growth in our local economies and more prosperity.

“Being able to keep a 40 per cent share of business rates growth will make a significant financial difference to our council. This is very welcomed news ahead of setting our budget for next year.”

A significant amount of partnership working between Devon’s authorities has taken place to understand the implications of the pilot.

It is hoped that sharing the proceeds of business rates growth income will encourage all the authorities to further their growth agendas, promoting greater consistency and shared knowledge.